Source - LSE Regulatory
RNS Number : 1368G
Deltex Medical Group PLC
14 July 2023
 

THIS ANNOUNCEMENT, INCLUDING THE APPENDIX AND THE INFORMATION IN IT, IS RESTRICTED AND IS NOT FOR PUBLICATION, RELEASE OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES, AUSTRALIA, CANADA, THE REPUBLIC OF SOUTH AFRICA, JAPAN, NEW ZEALAND OR ANY OTHER JURISDICTION IN WHICH SUCH PUBLICATION, RELEASE OR DISTRIBUTION WOULD BE UNLAWFUL.

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF EU REGULATION 596/2014 (WHICH FORMS PART OF DOMESTIC UK LAW PURSUANT TO THE EUROPEAN UNION (WITHDRAWAL) ACT 2018, AS AMENDED ("EUWA")) ("UK MAR"). IN ADDITION, MARKET SOUNDINGS (AS DEFINED IN UK MAR) WERE TAKEN IN RESPECT OF CERTAIN OF THE MATTERS CONTAINED WITHIN THIS ANNOUNCEMENT, WITH THE RESULT THAT CERTAIN PERSONS BECAME AWARE OF INSIDE INFORMATION (AS DEFINED UNDER UK MAR). UPON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THOSE PERSONS THAT RECEIVED INSIDE INFORMATION IN A MARKET SOUNDING ARE NO LONGER IN POSSESSION OF SUCH INSIDE INFORMATION, WHICH IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

 

14 July 2023

 

Deltex Medical Group plc

("Deltex Medical", the "Company" or the "Group")

 

Placing, Subscription and Retail Offer

Capital Reorganisation to change the nominal value of the Existing Ordinary Shares

and

Notice of General Meeting

·      Equity raise of £1.67M to enable restructuring and balance sheet strengthening

·      Supported by existing Institutional investors and Board contribution of £100k

·      Identification of up to approximately £1.0 million of annualised costs savings predominantly through headcount reduction

·      £350k of debt converted to equity at the Issue Price

·      Next generation TrueVue System now CE marked and released in the UK and EU; revenues expected from November 2023

 

 

i.    completion of the Capital Reorganisation;

ii.    passing of the Fundraising Resolutions;

iii.   the Placing and Subscription becoming unconditional in all respects;

iv.   Admission becoming effective by 8.00 a.m. on 2 August 2023 (or such later time and date not being later than 8.00 a.m. on 16 August 2023 as the Company and Allenby Capital may agree); and

v.   the restoration of trading in the Company's Ordinary Shares on AIM.

 

 

2.   BACKGROUND TO AND REASONS FOR THE PROPOSALS

 

 

3.   STRATEGY AND RESTRUCTURING

Notwithstanding the challenging trading conditions experienced by the Group and the cash flow problems, the Board have identified the opportunity to turn-around the business. At the centre of this turn-around strategy, the Group intends to adopt a "zero-based budgeting" approach, whereby the Group will conservatively allocate funding based on programme efficiency and necessity rather than budget history.

 

Accordingly, the Board has identified up to approximately £1.0 million of annualised costs savings that can be implemented in the near-term, which will contribute towards aligning the business to operate in a streamlined fashion and in particular, in line with post-COVID-19 operating conditions (such as the limited physical sales access to hospitals that prevails). These cost savings include a significant reduction in headcount across the Company, as well as the Company's executive directors having agreed to changes in their remuneration to further conserve cash. Accordingly, the Chief Executive Officer and the Finance Director have agreed to an approximately 40 per cent. and 20 per cent. reduction in salary respectively for the next 18 months.  The Board also intends to review its Board composition in the near future, which may result in a reduction in the number of Directors (currently 7) and therefore additional potential cost savings.

 

In addition, Imperialise Limited (a company controlled by Nigel Keen, Chairman of the Board) has agreed to restructure its £1.0 million short-term loans to the Company. As a result, the originally scheduled repayment by the Company of £0.25m from 25 July 2023 and £0.75 million by 30 June 2024 will now be postponed as to £0.25 million by 30 June 2025 and £0.4 million by 31 December 2025. The remaining £0.35 million due to Imperialise Limited will be repaid by the issue of 175,000,000 New Ordinary Shares at the Issue Price on Admission. Further details of the Company's debt restructuring are set out in paragraph 6 below.

 

Non-executive director fees

 

4.   USE OF FUNDRAISING PROCEEDS

 

5.   THE FUNDRAISING


The Placing and Subscription

 

 

 

Allenby Capital has entered into the Placing Agreement with the Company pursuant to which Allenby Capital has, on the terms and subject to the conditions set out therein (including the occurrence of Admission), agreed to act as the Company's agent in respect of the Placing and to use its reasonable endeavours to procure subscribers for the Placing Shares at the Issue Price. The Placing is not being underwritten by Allenby Capital or any other person. The Placing Agreement contains warranties and indemnities from the Company in favour of Allenby Capital. Allenby Capital has the right to terminate the Placing Agreement in certain circumstances, in particular in the event of a breach of the warranties or the occurrence of a force majeure event. The Placing Agreement is conditional, inter alia, upon Admission having occurred no later than 8.00 a.m. on 2 August 2023 (or such later time and date as the Company and Allenby Capital may agree, not being later than 8.00 a.m. on 16 August 2023).

 

Director participation in the Subscription

 

Director

Existing beneficial shareholding of Existing Ordinary Shares

Number of Subscription Shares subscribed for

Beneficial shareholding of New Ordinary Shares on Admission

Percentage of   Enlarged Share Capital**

Nigel Keen

103,301,172

35,000,000

332,267,649*

19.14%

Mark Wippell

13,219,693

5,000,000

18,219,693

1.05%

Julian Cazalet

29,335,789

5,000,000

34,335,789

1.98%

Andrew Mears

6,658,731

5,000,000

11,658,731

0.67%

*includes 175,000,000 New Ordinary Shares issued pursuant to the Loan Conversion and 18,966,477 Fee Shares

**excludes the Retail Offer Shares

The Retail Offer

 

 

6.   LOAN CONVERSION AND AMENDMENTS

7.   CAPITAL REORGANISATION

·      each of the Existing Ordinary Shares of 1 penny each will be subdivided into and reclassified as one New Ordinary Share and one Deferred Share;

·      each New Ordinary Share will be an ordinary share in the capital of the Company with a nominal value of £0.0001 (0.01 pence) and having those rights set out in the Amended Articles (further details of which can be found below);

·      each Deferred Share will be a deferred share in the capital of the Company with a nominal value of £0.0099 (0.99 pence) and having those rights set out in the Amended Articles. The intention is that Deferred Shares would be cancelled in due course following a court approved reduction of capital or other means, if available; and

·      the Company's articles of association require to be amended to include certain provisions including relating to the Deferred Shares, via the Amended Articles.

8.   GENERAL MEETING AND CIRCULAR

 

9.   ADMISSION AND RESTORATION OF TRADING ON AIM

10.  RECOMMENDATION

 

In order for the Fundraising and Admission to proceed, Shareholders will need to approve the Fundraising Resolutions set out in the Notice of General Meeting. If the Fundraising Resolutions to be proposed at the General Meeting are not approved by Shareholders, the Placing Shares, the Retail Offer Shares, the Subscription Shares and the Loan Conversion Shares will not be able to be allotted and consequently the Proposals will not proceed and therefore the Company's performance, financial position and prospects will be adversely affected. In the absence of availability of any alternative funding solutions, the Directors consider that it is highly likely that the Company would be required to appoint an administrator in that instance in order to protect the interests of creditors.  Accordingly, the Directors consider that it is very important that Shareholders vote in favour of the Resolutions, in order that the Proposals and Admission can proceed.

 

The Board considers the Proposals and the Resolutions to be in the best interests of Shareholders as a whole. Accordingly, the Directors unanimously recommend that Shareholders vote in favour of the Resolutions as they intend to do in respect of their own interests in Ordinary Shares of, in aggregate, 163,026,105 Existing Ordinary Shares (representing approximately 22.99 per cent. of the Existing Ordinary Shares).

 

11.  EXPECTED TIMETABLE OF PRINCIPAL EVENTS

 

Announcement of the Placing, Subscription and Retail Offer

14 July 2023

Posting of the Circular and Form of Proxy

15 July 2023

Result of Retail Offer announced through an RIS

20 July 2023

Latest time and date for receipt of completed Forms of Proxy

9:30 a.m on 28 July 2023

Latest time and date for receipt of CREST Proxy Instructions for the General Meeting

9:30 a.m on 28 July 2023

Record time for those Shareholders on the Register of Members entitled to attend or vote at the General Meeting

6:30 p.m on 28 July 2023

General Meeting

9:30 a.m on 1 August 2023

Capital Reorganisation is effective*

after close of business on 1 August 2023

Admission of, and commencement of dealings in, the New Ordinary Shares (including the Fundraising Shares, the Fee Shares and the Loan Conversion Shares)*

 

 

 

 

 

 

 

 

 

 

8.00 a.m on 2 August 2023

New Ordinary Shares (including the Fundraising Shares, the Fee Shares and the Loan Conversion Shares) credited to CREST stock accounts*

 

 

 

 

 

 

2 August 2023

Despatch of definitive share certificates for the Fundraising Shares, the Fee Shares and the Loan Conversion Shares in certificated form*

Within 14 days of Admission

 

Note:

 

*assuming the Fundraising Resolutions are passed

 

Enquiries: 

 

For further information, please contact:

 

Deltex Medical Group plc                            

01243 774 837

Nigel Keen, Chairman                

investorinfo@Deltexmedical.com

Andy Mears, Chief Executive   


Natalie Wettler, Group Finance Director




Allenby Capital Limited - Nominated Adviser & Broker

020 3328 5656

Jeremy Porter / Vivek Bhardwaj (Corporate Finance)

info@allenbycapital.com

Tony Quirke / Stefano Aquilino (Sales & Corporate Broking)


 

 

Appendix - Definitions

 

The following definitions apply throughout this announcement unless the context requires otherwise:

 

 

Admission


admission of the New Ordinary Shares (including the Fundraising Shares, Fee Shares and Loan Conversion Shares) to trading on AIM becoming effective in accordance with the AIM Rules;

AIM


the market of that name operated by the London Stock Exchange;

AIM Rules


the AIM Rules for Companies governing the admission to and operation of AIM published by the London Stock Exchange as amended from time to time;

Allenby Capital


Allenby Capital Limited, the Company's Nominated Adviser and Broker;

Amended Articles


the Company's new Articles of Association following the amendments proposed to be approved via Resolution 1, including the amendments to establish the Deferred Shares and set out the limited rights proposed for the Deferred Shares;

Articles of Association


the articles of association of the Company, as amended from time to time;

Business Day


any day on which banks are generally open in London for the transaction of business other than a Saturday or Sunday or public holiday;

Capital Reorganisation


the proposed reorganisation of the share capital of the Company as described in paragraph 7 above;

Certificated or in certificated form


a share or other security which is not in uncertificated form (that is, not in CREST);

Circular


the circular with details of the Proposals including a notice of General Meeting to be sent to Shareholders on 15 July 2023;

Companies Act


the Companies Act 2006, as amended, modified or re-enacted from time to time;

Company or Deltex Medical


Deltex Medical Group plc, incorporated in England and Wales with number 03902895 and with its registered office at Terminus Road, Chichester, West Sussex, PO19 8TX;

Conditions


(a) completion of the Capital Reorganisation; (b) the passing of the Fundraising Resolutions; (c) the Placing and Subscription becoming unconditional in all respects; (d) Admission becoming effective by 8.00 a.m. on 2 August 2023 (or such later time and date not being later than 8.00 a.m. on 16 August 2023 as the Company and Allenby Capital may agree); and (e) the restoration of trading in the Company's Ordinary Shares on AIM;

Convertible Loan Notes


the £1,100,000 unsecured convertible loan notes issued by the Company in February 2016, as amended;

CREST or CREST System


the computer-based system (as defined in the CREST Regulations) operated and administered by Euroclear enabling securities to be evidenced otherwise than by certificates and transferred otherwise than by written instruments;

CREST member


a person who has been admitted by Euroclear as a system participant (as defined in the CREST Regulations);

Deferred Shares


the Deferred Shares of 0.99 pence each in the capital of the Company as created by virtue of the Capital Reorganisation;

Directors, Board or Board of Directors


the current directors of the Company or the board of directors from time to time;

EBITDA


earnings before interest, taxes, depreciation, and amortisation;

Enlarged Share Capital


the ordinary share capital of the Company immediately following Admission;

Euroclear


Euroclear UK & International Limited;

Existing Articles


the articles of association of the Company currently in force;

Existing Ordinary Shares


the 709,057,601 ordinary shares of 1 penny each in issue as at the date of this document;

Existing Shareholders


the holders of Existing Ordinary Shares;

FCA


the Financial Conduct Authority of the United Kingdom or any successor body or bodies carrying out the functions currently carried out by the Financial Conduct Authority;

Form of Proxy


the form of proxy accompanying the Circular for use by Existing Shareholders at the General Meeting;

FSMA


the UK Financial Services and Markets Act 2000, as amended;

Fundraising


together the Placing, the Subscription and the Retail Offer;

Fundraising Resolutions


each of Resolutions 1, 2, 3, 5 and 6;

Fundraising Shares


together the Placing Shares, the Subscription Shares and the Retail Offer Shares;

General Meeting


the general meeting of the Company to be held at the offices of the Company at Terminus Road, Chichester, West Sussex, PO19 8TX, as set out in the Notice of General Meeting;

Group


the Company and each of its subsidiaries and subsidiary undertakings;

ISIN


International Securities Identification Number;

Issue Price


0.2p per Fundraising Share;

Loan Conversion


the conditional conversion of £250,000 of the loan outstanding under the facility made available to the Company by Imperialise Limited on 24 April 2023 and of £100,000 of the loan outstanding under the facility made available to the Company by Imperialise Limited on 18 September 2021 into Ordinary Shares;

Loan Conversion Shares


the 175,000,000 New Ordinary Shares to be allotted and issued pursuant to the Loan Conversion;

 

London Stock Exchange


London Stock Exchange plc or its successor(s);

MAR


the UK version of the EU Market Abuse Regulation (2014/596/EU) (incorporated into UK law by virtue of the European Union (Withdrawal) Act 2018), as amended and supplemented from time to time;

New Ordinary Shares


the issued and to be issued ordinary shares of 0.01 pence each in the capital of the Company as created by virtue of the Capital Reorganisation and the Fundraising Resolutions;

Notice of General Meeting


the notice of general meeting set out at the end of the Circular;

Ordinary Shares


the ordinary shares in the capital of the Company from time to time;

Overseas Shareholders


Shareholders with registered addresses in, or who are citizens, residents or nationals of, jurisdictions outside the UK;

Placee


any person that has conditionally agreed to subscribe for Placing Shares in the Placing;

Placing


the proposed placing by Allenby Capital of the Placing Shares on the terms and subject to the conditions of the Placing Agreement, including inter alia on passing of the Fundraising Resolutions and on Admission;

Placing Agreement


the conditional agreement dated 14 July 2023 between the Company and Allenby Capital relating to the Placing;

Placing Shares


the issue and placing of 620,500,000 New Ordinary Shares at the Issue Price by Allenby Capital with institutional and other investors in accordance with the terms of the Placing;

Proposals


the Fundraising, Loan Conversion and the Capital Reorganisation;

Regulatory Information Service or RIS


one of the regulatory information services authorised by the FCA to receive, process and disseminate regulatory information from listed companies;

Registrars


Equiniti Limited;

Resolutions


the resolutions to be put to the Existing Shareholders at the General Meeting as detailed in the Notice of General Meeting and Resolution means any of the Resolutions;

Restricted Jurisdiction(s)


the United States, Russia, Australia, Canada, Japan, New Zealand, the Republic of South Africa and any other jurisdiction where the extension or availability of the Fundraising would breach any applicable law;

Retail Offer


the retail offer to the Company's Shareholders run by REX;

 

Retail Offer Shares


up to 250,000,000 New Ordinary Shares to be issued pursuant to the Retail Offer;

REX


the Peel Hunt LLP Retail Capital Markets REX portal;

REX Retail Platform


a platform operated by REX;

Fee Shares


the 18,966,477 New Ordinary Shares to be allotted and issued to Imperialise Limited on Admission in lieu of the Chairman's fees of £33,333 plus employer national insurance contributions for the year ended 31 December 2022;

SEC


the US Securities and Exchange Commission;

Securities Act


the US Securities Act of 1933, as amended;

Shareholders


the holder(s) of the Ordinary Shares from time to time;

Subscribers


the persons entering into the Subscription Agreements;

 

Subscription


the conditional subscription for the Subscription Shares at the Issue Price by the Subscribers pursuant to the Subscription Agreements;

 

Subscription Agreements


the agreements dated on or around 14 July 2023 between the Company and each Subscriber pursuant to which each such Subscriber has agreed to subscribe for Subscription Shares;

 

Subscription Shares


the 212,500,000 New Ordinary Shares to be allotted and issued pursuant to the Subscription Agreements;

 

Sterling or pound or £ or penny or pence


pounds sterling or pence, the basic units of currency in the UK;

Subsidiary


has the meaning given in section 1159 of the Companies Act;

Subsidiary undertaking


has the meaning given to it in section 1162 of the Companies Act 2006;

TrueVue monitor


CardioQ-ODM+ Oesophageal Doppler Monitor;

Uncertificated or uncertificated form


recorded on the relevant register or other record as being held in uncertificated form in CREST and title to which, by virtue of the CREST Regulations, may be transferred by means of CREST;

United Kingdom or UK


the United Kingdom of Great Britain and Northern Ireland;

United States or US


the United States of America; and

US Persons


has the meaning provided in Rule 902(k) of Regulation S under the Securities Act.

 

Notification and public disclosure of transactions by persons discharging managerial responsibilities and persons closely associated with them.

 

1

Details of the person discharging managerial responsibilities / person closely associated

a)

Name

1.   Nigel Keen

2.   Mark Wippell

3.   Julian Cazalet

4.   Andrew Mears

 

2

Reason for the notification

a)

Position/status

1.   Chairman

2.   Non-executive Director

3.   Non-executive Director

4.   Chief Executive Officer

b) 

Initial notification /Amendment

Initial notification

Details of the issuer, emission allowance market participant, auction platform, auctioneer or auction monitor

a)

Name

Deltex Medical Group Plc

b)

LEI

213800XN34P6LI8J6M39

4

 

Details of the transaction(s): section to be repeated for (i) each type of instrument; (ii) each type of transaction; (iii) each date; and (iv) each place where transactions have been conducted

a)

 

Description of the financial instrument, type of instrument 

Identification code

Ordinary shares of 1p each in Deltex Medical Group Plc

  

Identification code (ISIN) for Deltex Medical Group Plc ordinary shares: GB0059337583

b)

Nature of the transaction

Purchase of shares 

c)

Price(s) and volume(s)

 Price(s)

Volume(s)

1. 0.20p

2. 0.20p

3. 0.20p

4. 0.20p

1.35,000,000

2. 5,000,000

3. 5,000,000

4. 5,000,000

 

d)

Aggregated information:

-      Aggregated volume

-      Price

N/A 

e)

Date of the transaction

14 July 2023, to be completed on 2 August 2023

f)

Place of the transaction

Outside a trading venue

 

IMPORTANT NOTICES

 

Notice to Distributors

Solely for the purposes of the product governance requirements contained within: (a) EU Directive 2014/65/EU on markets in financial instruments, as amended and as this is applied in the United Kingdom ("MiFID II"); (b) Articles 9 and 10 of Commission Delegated Directive (EU) 2017/593 supplementing MiFID II and Regulation (EU) No 600/2014 of the European Parliament, as they form part of UK law by virtue of the European Union (Withdrawal) Act 2018, as amended; and (c) local implementing measures (together, the "MiFID II Product Governance Requirements"), and disclaiming all and any liability, whether arising in tort, contract or otherwise, which any "manufacturer" (for the purposes of the MiFID II Product Governance Requirements) may otherwise have with respect thereto, the Ordinary Shares have been subject to a product approval process, which has determined that such securities are: (i) compatible with an end target market of retail investors who do not need a guaranteed income or capital protection and investors who meet the criteria of professional clients and eligible counterparties, each as defined in MiFID II; and (ii) eligible for distribution through all distribution channels as are permitted by MiFID II (the "Target Market Assessment"). The Ordinary Shares are not appropriate for a target market of investors whose objectives include no capital loss.  Notwithstanding the Target Market Assessment, distributors should note that: the price of the Ordinary Shares may decline and investors could lose all or part of their investment; the Ordinary Shares offer no guaranteed income and no capital protection; and an investment in the Ordinary Shares is compatible only with investors who do not need a guaranteed income or capital projection, who (either alone or in conjunction with an appropriate financial or other adviser) are capable of evaluating the merits and risks of such an investment and who have sufficient resources to be able to bear any losses that may result therefrom. The Target Market Assessment is without prejudice to the requirements of any contractual, legal or regulatory selling restrictions in relation to the Fundraise. Furthermore, it is noted that, notwithstanding the Target Market Assessment, Allenby Capital will only procure investors who meet the criteria of professional clients and eligible counterparties. For the avoidance of doubt, the Target Market Assessment does not constitute: (a) an assessment of suitability or appropriateness for the purposes of MiFID II; or (b) a recommendation to any investor or group of investors to invest in, or purchase, or take any other action whatsoever with respect to the Ordinary Shares. Each distributor is responsible for undertaking its own target market assessment in respect of the shares and determining appropriate distribution channels.

 

Forward Looking Statements

This announcement includes statements that are, or may be deemed to be, "forward-looking statements". These forward-looking statements can be identified by the use of forward-looking terminology, including the terms "believes", "estimates", "plans", "anticipates", "targets", "aims", "continues", "expects", "intends", "hopes", "may", "will", "would", "could" or "should" or, in each case, their negative or other variations or comparable terminology. These forward-looking statements include matters that are not facts. They appear in a number of places throughout this announcement and include statements regarding the Directors' beliefs or current expectations. By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances. Investors should not place undue reliance on forward-looking statements, which speak only as of the date of this announcement.

 

Notice to overseas persons

This announcement does not constitute, or form part of, a prospectus relating to the Company, nor does it constitute or contain any invitation or offer to any person, or any public offer, to subscribe for, purchase or otherwise acquire any shares in the Company or advise persons to do so in any jurisdiction, nor shall it, or any part of it form the basis of or be relied on in connection with any contract or as an inducement to enter into any contract or commitment with the Company.

 

This announcement is not for release, publication or distribution, in whole or in part, directly or indirectly, in or into Australia, Canada, Japan or the Republic of South Africa or any jurisdiction into which the publication or distribution would be unlawful. This announcement is for information purposes only and does not constitute an offer to sell or issue or the solicitation of an offer to buy or acquire shares in the capital of the Company in  Australia, Canada, Japan, New Zealand, the Republic of South Africa or any jurisdiction in which such offer or solicitation would be unlawful or require preparation of any prospectus or other offer documentation or would be unlawful prior to registration, exemption from registration or qualification under the securities laws of any such jurisdiction.  Persons into whose possession this announcement comes are required by the Company to inform themselves about, and to observe, such restrictions.

 

This announcement is not for publication or distribution, directly or indirectly, in or into the United States of America.  This announcement is not an offer of securities for sale into the United States.  The securities referred to herein have not been and will not be registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States, except pursuant to an applicable exemption from registration.  No public offering of securities is being made in the United States.

 

General

Neither the content of the Company's website (or any other website) nor the content of any website accessible from hyperlinks on the Company's website (or any other website) or any previous announcement made by the Company is incorporated into, or forms part of, this announcement.

 

Allenby Capital, which is authorised and regulated by the FCA in the United Kingdom, is acting as Nominated Adviser and Broker to the Company in connection with the Placing. Allenby Capital will not be responsible to any person other than the Company for providing the protections afforded to clients of Allenby Capital or for providing advice to any other person in connection with the Fundraising or the Retail Offer. Allenby Capital has not authorised the contents of, or any part of, this announcement, and no liability whatsoever is accepted by Allenby Capital for the accuracy of any information or opinions contained in this announcement or for the omission of any material information, save that nothing shall limit the liability of Allenby Capital for its own fraud.

 

ABOUT DELTEX MEDICAL'S TECHNOLOGY

 

Deltex Medical's TrueVue System uses proprietary haemodynamic monitoring technology to assist clinicians to improve outcomes for patients as well as increase throughput and capacity for hospitals.

 

Deltex Medical has invested over the long term to build a unique body of peer-reviewed, published evidence from a substantial number of trials carried out around the world. These studies demonstrate statistically significant improvements in clinical outcomes providing benefits both to patients and to the hospital systems by increasing patient throughput and expanding hospital capacity.

 

The Group's flagship, world-leading, ultrasound-based oesophageal Doppler monitoring ("ODM") is supported by 24 randomised control trials conducted on anaesthetised patients. As a result, the primary application for ODM is focussed on guiding therapy for patients undergoing elective surgery. The Group's new, next generation monitor makes the use of the ODM technology more intuitive and provides augmented data on the status of each patient.

 

Deltex Medical's engineers and scientists carried out successful research in conjunction with the UK's National Physical Laboratory ("NPL"), which has enabled the Group's 'gold standard' ODM technology to be extended and developed so that it can be used completely non-invasively. This will significantly expand the application of Deltex Medical's technology to non-sedated patients. This new technological enhancement, which will be released on the new next generation monitor, will substantially increase the addressable market for the Group's haemodynamic monitoring technologies and is complementary to the long-established ODM evidence base.

 

Deltex Medical's new non-invasive technology has potential applications for use in a number of healthcare settings, including:

§ Accident & Emergency for the rapid triage of patients, including the detection and diagnosis of sepsis;

§ in general wards to help facilitate a real-time, data-driven treatment regime for patients whose condition might deteriorate rapidly; and

§ in critical care units to allow regular monitoring of patients post-surgery who are no longer sedated or intubated.

 

One of the key opportunities for the Group is positioning this new, non-invasive technology for use throughout the hospital. Deltex Medical's haemodynamic monitoring technologies provide clinicians with beat-to-beat real-time information on a patient's circulating blood volume and heart function. This information is critical to enable clinicians to optimise both fluid and drug delivery to patients.

 

Deltex Medical's business model is to drive the recurring revenues associated with the sale of single-use disposable ODM probes which are used in the TrueVue System and to complement these revenues with a new incremental revenue stream to be derived from the Group's new non-invasive technology.

 

Both the existing single-use ODM probe and the new, non-invasive device will connect to the same, next generation monitor launched in July 2023. Monitors are sold or, due to hospitals' often protracted procurement times for capital items, loaned in order to encourage faster adoption of the Group's technology.

 

Deltex Medical's customers

 

The principal users of Deltex Medical's products are currently anaesthetists working in a hospital's operating theatre and intensivists working in ICUs. This customer profile will change as the Group's new non-invasive technology is adopted by the market. In the UK the Group sells directly to the NHS. In the USA the Group sells directly to a range of hospital systems. The Group also sells through distributors in more than 40 countries in the European Union, Asia and the Americas.

 

Deltex Medical's objective

 

To see the adoption of Deltex Medical's next generation TrueVue System, comprising both minimally invasive and non-invasive technologies, as the standard of care in haemodynamic monitoring for all patients from new-born to adult, awake or anaesthetised, across all hospital settings globally.

 

For further information please go to www.deltexmedical.com       

 

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